Author Question: If the depositor's book balance is not the same as the bank's book balance, an error has occurred. ... (Read 55 times)

mikaylakyoung · **on:** Jul 5, 2018

If the depositor's book balance is not the same as the bank's book balance, an error has occurred.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Explain the difference between accruals and deferrals.

What will be an ideal response?

lucas dlamini · **Reply #1 on:** Jul 5, 2018

Answer to Question 1

False

Answer to Question 2

An accrual is a transaction in which the action comes before the exchange of cash. A deferral, on the other hand, is a transaction in which the exchange of dollars comes before the action. Adjustments are made at the end of the period to account for the presence of accrual and deferrals.